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“COMPASS” REPORT 2022 – COUNCIL ON COMPETITIVENESS OF GREECE 21

Most startups seem to be collaborative ventures, with 48% Global interest in the Greek startup ecosystem has also
having two co-founders, 20% having three co-founders, and increased in recent years. Major global heavyweights—such
14% four or more, while only 18% had just one founder. as Cisco, Microsoft, and Pfizer—have established R&D and
Seven out of ten startups have readjusted their initial con- innovation centres in Greece. Furthermore, in the last two
cept one or more times. Lastly, more than 60% of founders years, major business groups—such as JP Morgan, Meta,
had no prior experience in running a startup. and Microsoft—have concluded merger and acquisition
agreements with Greek startups. Finally, at the global level,
One of the things that stand out is the gender disparity there are more than 500 foreign startups whose founders
between founders. This fact, yet another social drawback, are of Greek heritage (e.g. BetterUp, Raise); their connection
shows that the Greek startup ecosystem is less accessible with Greece in the immediate future could contribute to the
to women. Indicatively, according to the annual report by further development of the ecosystem (Εndeavour, 2021
Elevate Greece, of every 10 startups being financed, fewer Greek-Tech Ecosystem Insights and 2022 Predictions).
than three were founded by women. It is worth noting that
women’s representation in EU startups is low: with a mere In 2021, total financing exceeded €500 million and con-
1.7% of total VC funding going to women founders. With cerned more than 70 companies. The main sources of
regard to inclusivity, coordinated efforts must be made to external funding came primarily from US or European VCs
improve access for more women and other under-represent- (73%), state grants (10%), and angel investors (8%) (Elevate
ed founders through diversity programmes (Elevate Greece Greece – Annual Report 2021). Of total investments in 2021,
– Annual Report 2021). around 43% of startups that received funding were at the
pre-seed stage, around 33% were at the seed stage and
There is now a generation of Greek scaleups that keep around 24% at Series A-D stages (Startups in Greece Venture
increasing their influence, size and impact on the Greek tech Financing Report 2021/2022). In other words, the investment
ecosystem, shaping a new generation of executives and environment seems to be supporting the growth of startups,
programmers, and closing world class deals along the way. with a high number of funded companies at the pre-seed
In 2021, Greece had its first two unicorns — Viva Wallet and and seed stages (~80% of the total), paving the way for their
PeopleCert — while more, such as Blueground, are in the further growth into Series Α-D stages. In conclusion, inves-
pipeline. More unicorns will provide the momentum for fur- tors in Greek startups seem to be willing to take on the risk
ther growth of tech startups, as the more exits occur in tech of supporting new business ventures at their initial stages,
startups in Greece, the more investors will express interest in providing both financing and business know-how, as well as
this specific area. crucial networking with the global ecosystem.

With regard to exits, it is worth noting that there were six
acquisitions during 2020–2021, of which the largest exceed-
ed €300 million and the smallest cleared €20 million. These
companies are mainly active in software development for
various applications, in networks and in advertising. The
average age of exiting companies is almost 10 years, putting
Greece above the European average exit age of 15 years
(Startups in Greece Venture Financing Report 2021/2022).